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Short and Sweet- Tax Dates To Meet

Well, it’s that time of year again, tax time! I know the thought of preparing taxes and dealing with the IRS does not bring on the warm fuzzies, but it must be done!

My Time with The IRS

In my twenties, I worked for the IRS, for six years. First as a Revenue Officer- yes, I was the person who knocked on doors to tell individuals and businesses they either owed the IRS tax returns, money, or both. I learned so much as a Revenue Officer or “RO,” as we called ourselves. I saw the many mistakes people and companies made by being in denial and avoidance mode- which does not work, especially with the IRS.

Next, I was a Federal Agent with the IRS. I worked for the Internal Security Division of the IRS, which handled public corruption within the IRS and crimes against the IRS’ policies and programs. Interesting for sure! Again, I learned so much from that two-year job before I transferred to the Department of Justice, where I spent the rest of my Federal Agent career.

I am thankful that I worked for the IRS for multiple reasons, but two of the top reasons are:

  • I understand how the IRS works, and
  • I do not have a fear of the IRS

The Dates You Need To Know

The deadline for most taxpayers to file a Form 1040, Individual Income Tax Return is Monday, April 15, 2024.

Taxpayers living in Maine and Massachusetts have until Wednesday, April 17, 2024, to file, because of the observances of Patriot’s Day (April 15) and Emancipation Day (April 16).

Most Americans must file their Federal Income Tax Return no later than April 15, 2024. If you are unable to file before April 15th, you can file for an extension. Filing an extension gives you an additional 6 months, until October 15, 2024, to submit a complete return.

An Extension To File is Not An Extension To Pay

Remember an extension to file is not an extension to pay! If you owe taxes on your Form 1040, Individual Income Tax Return you will be charged a 0.5% a month (not to exceed 25%) Failure To Pay Penalty on the unpaid balance, in addition to interest.

If you do not file timely, or file a timely extension to file, IRS Form 4868, you will also be charged a 5% a month (not to exceed 25%) Failure To File Penalty, in addition to interest.

Per the IRS: If both a Failure To Pay and a Failure To File Penalty are applied in the same month, the Failure To File Penalty will be reduced by the amount of the Failure To Pay Penalty applied in that month. For example, instead of a 5% Failure To File Penalty for the month, we would apply a 4.5% Failure To File Penalty and a 0.5% Failure To Pay Penalty. 

To learn more about filing an IRS Form 4868 Extension To File:

So, even if you know you are going to owe taxes and you do not have the money to pay, you can avoid the 5% a month Failure To File Penalty by filing timely or filing a timely extension, which extends your time to file a timely tax return until October 15, 2024.

Business Taxes

C Corporations file a Form 1120 with the IRS to calculate their taxes due. S Corporations file a Form 1120-S with the IRS as an information return. S Corporations must also prepare a Schedule K-1 Form for each shareholder to include with their individual returns.

The IRS filing deadline for Form 1120 and 1120-S is March 15, 2024. Penalties are steep if you do not file timely or file a timely extension. Learn more on the IRS website.

More To Talk About

There is much more to talk about when it comes to the IRS. For this blog post I wanted to get you these need to know tax dates. A better understanding of the IRS reduces stress and the fear of the unknown.

With gratitude,

Susan Howell, The MoneyMaestra

Susan Howell
Written by: Susan Howell, The MoneyMaestra.

Even though I grew up without money, I was able to retire at 50 based on my financial practices. I worked for the Federal Government for 26 years, with 6 of those years at the IRS and 20 at the Department of Justice, which included investigating many money-related cases.

I created MoneyMaestra to share what I know and to help people get on the path to Financial Freedom.

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